Apple is reportedly preparing to launch a new financing programme called Apple Upgrade in the US next week. According to Bloomberg’s Mark Gurman, the service will debut on July 28th in partnership with buy now, pay later provider Klarna, replacing the long-running iPhone Upgrade Program with a broader offering that covers multiple Apple devices.
The new programme is expected to let customers finance iPhones, iPads, Macs and Apple Watches under a single umbrella, while also offering early upgrade options. However, there is no information yet on whether Apple plans to introduce the programme in India.
Key features of the new Apple Upgrade programme
According to the report, Apple Upgrade will offer 24-month terms for iPhones and Apple Watches, while iPads and Macs will be financed over 36 months. Customers will be able to pay off their device early, upgrade before the financing period ends, or choose to keep or return the device at the end of the lease.
Unlike Apple’s traditional instalment plans, the programme is said to follow a subscription-style leasing model rather than a retail loan. Klarna will conduct a soft credit check, and additional fees may apply in some cases. Apple reportedly plans to market the programme around lower monthly payments, making premium Apple devices more accessible without requiring customers to pay the full price upfront.
Major differences: new Apple upgrade vs old iPhone upgrade programme
The biggest change is that Apple Upgrade expands beyond iPhones. While the existing iPhone Upgrade Program only covered iPhones through a 24-month, 0 percent APR loan backed by Citizens One, the new programme reportedly includes Macs, iPads and Apple Watches through Klarna.
There are a few trade-offs, however. Under the old programme, users owned the iPhone after completing the monthly payments and AppleCare+ was bundled into the subscription. With Apple Upgrade, users may need to make a final payment to keep the device or return it, and AppleCare+ is no longer expected to be included, meaning it would need to be purchased separately.
Device eligibility and restrictions
The report suggests not every Apple product will qualify. Devices such as the Apple Watch SE, entry-level iPad, iPhone 16, and MacBook Neo are reportedly excluded from the programme. Apple is also expected to stop accepting new sign-ups for the existing iPhone Upgrade Program once Apple Upgrade goes live. For buyers in the US, the new programme could make upgrading across Apple’s ecosystem more flexible, particularly for those who regularly switch devices. For Indian customers, however, there is little reason to read too much into the announcement for now, as Apple has not announced any plans to bring Apple Upgrade to the country.
